Frequently Asked Questions
The proposed budget for FY 2024 is set at $543.9 million, which covers all operations and 43 new employees. For a rundown of all that’s included in this year’s proposed budget, visit the “Budget in Brief” document on our Resources page.
This is actually a slight decrease from last year’s total budget of $557 million, due to last year’s emphasis on one-time capital projects.
On Aug. 10, City Council adopted a max tax rate of 34.2 cents per $100 of valuation for Fiscal Year 2023.
This proposed tax rate is the same as last year’s, and it’s the lowest proposed among cities in our area; however, the Fiscal Year 2024 proposed rate is higher than the “no new revenue” rate of 31.6 cents, which would raise the same amount of revenue as last year on existing property based on this year’s property valuations. The additional 2.6 cents is needed to pay for additional public safety positions with competitive salaries, as well as additional staffing for parks, library and other departments.
The median taxable home value in Round Rock for FY 2024 is $363,396. The owner of a median taxable value home will pay $104 per month in City property taxes for next year. The proposed tax rate results in a $8 per month increase.
The City’s General Fund is funded by three types of revenues: property tax, sales tax and other revenue sources.
Property Tax: Single family homeowners will pay $31.9 million in City property taxes in FY 2024, just 20% of the total General Fund budget. The City’s property taxes help cover many of our core services including police, fire, transportation, parks and recreation and the library. Over the past five years, the City has opened four fire stations, added 32 new firefighters and staff, added 33 new police officers and staff, and has opened the new Public Safety Training Facility – all thanks in part to property tax revenues.
Sales Tax: For every $100 in purchases by visitors, residents, and businesses, the City collects $2 in sales tax revenues. The General Fund gets $1.50 and the remaining 50 cents goes to the Type B Fund to pay for roads and economic development. Round Rock’s unique mix of destination shopping and corporate headquarters generates sales tax revenues that help reduce the property tax burden.
Other: Over 100 different revenue sources make up the remainder of General Fund revenues including fees for the City’s many recreation programs, building permits, and other services. Some of these are large, like the Electric Franchise Tax revenues budgeted at $3.9 million and ARPA reimbursements budgeted at $2.0 million for FY 2024.
The public is able to provide public comment on the budget and tax rate at the following meetings at the City of Round Rock Council Chambers, 221 E. Main Street:
Aug. 24, 6 p.m. – Council Meeting:
- Budget: Public hearing and first reading of the ordinance
- Tax Rate: Public hearing and first reading of the ordinance
Sept. 14, 6 p.m. – Council Meeting:
- Budget: Final adoption
- Tax Rate: Final adoption